Solar Development Incentive

The 2016 Legislature created the Solar Development Incentive (SDI) to encourage the development of solar energy projects in Oregon by providing a cash incentive per kilowatt-hour (kWh) of electricity generated to owners of photovoltaic (PV) energy systems with a nameplate capacity of between two and 10 megawatts-alternating current output capacity (MWac). Qualified projects enrolled in the program can receive a monthly payment of $0.005 per kWh of electricity generated, for a period of five years.

Application Process and Timing

  1. Accepting applications through January 2, 2017, 11:59 pm PST, submission deadline
  2. Mid-January, the Selection Committee meets
  3. Late-January/early-February, applicants notified via email; projects selected will be asked to sign an agreement detailing the conditions and requirements of accepting SDI program incentives.


Following is a list of program eligibility criteria (subject to revision). A solar PV system is eligible if it:

  • is located in Oregon
  • has a nameplate capacity between two and 10 megawatts as measured in alternating current (MWac)
  • has a commercial operations date, as specified in a power purchase agreement, of January 1, 2016, or later
  • is either
    • directly connected to the electrical system of an investor-owned utility or publicly-owned utility, or
    • indirectly connected to the electrical system of an investor-owned utility or publicly-owned utility in a manner that Business Oregon determines acceptable for program enrollees
  • has a revenue grade meter or other device that monitors and measures the quantity of energy generated by the solar PV energy system
  • meets any other siting, design, interconnection, installation, and electric output standards required by Oregon laws.
  • The program enrollee, including any business affiliated with the program enrollee, has not and will not exceed a 35MWac cumulative nameplate capacity of projects enrolled in the program.

Before enrolling eligible projects, Business Oregon with work with the Oregon Department of Energy to identify projects that, if not already generating electricity, will begin generating electricity no later than one year after the date on which the project application was received.


How to Apply

  1. Review SDI Handbook and eligibility criteria
  2. Prepare supplemental materials (as PDFs)

The SDI Handbook is intended to provide information about the program intent, applicability, and participation. Program rules can be found in Oregon Administrative Rules (OAR) 123.093. In the event that there is a discrepancy between language found in the Handbook and OAR 123.093, the language in OAR 123.093 overrides language in the Handbook.

The Handbook includes the questions asked in the online application, as well as the list of suggested supplemental material applicants can upload to demonstrate program eligibility and likelihood that submitted projects will be generating electricity by January 2, 2018. The application example in the Handbook is for reference only and is not to be used to submit projects for consideration.

The application form is an electronic-only process. The very first online application made in the Business Oregon Application Portal requires that a self-managed account be created where individuals choose a user name and a password. The account provides authorized access to the Application Portal and all account-related online application(s).

Login to the Application Portal to continue an application, check status, or start subsequent applications.

The online system allows for saving your application and returning to it if you are unable to complete it in one sitting. Only completed applications will be considered for funding. A completed application and supplemental material will serve as the primary means by which projects will be evaluated.